Mayor Pantelides Presents FY 2015 Proposed Budget
Proposes Cuts of $7.3 Million
Annapolis MD (3-11-14) Annapolis Mayor Michael Pantelides presented his FY 2015 proposed operating budget during his State of the City address last night.
As part of the operating budget, the City will continue to fund the City’s union agreements, which address long-term, unfunded liabilities and insure the integrity of the City’s Public Safety retirement plan and previously unfunded health care.
The union agreement along with increased costs of health insurance, increased debt service, increased workers compensation claims, and a decrease in reimbursements from the enterprise fund have combined to increased the City’s budget by more than $8 million.
“If I don’t add a single new item to the budget, the FY 2015 operating budget will be $8.3 million larger than last years $95.6 million,” Mayor Pantelides said. “That is an 8.7 % increase, without a single enhancement, addition or hire.
As part of the budget, Mayor Pantelides recommended furloughs along with laying off 13 employees and cutting 20 vacant positions.
This is a proposed $96.6 million operating budget and a $15.8 million capital budget.
Key Goals of the operating budget include:
- Funds City commitment to IBB to address long-term unfunded liabilities, and ensures the integrity of our public safety retirement plan, as well as the previously unfunded retiree health care obligation.
- Provides critical services to our citizens with no tax increase
- Dedicates $1 million to the fund balance, bringing the total to nearly $20 million
The budget also:
- Leaves numerous positions vacant, saving the City more than $800,000\
- Requires no short-term borrowing
- Includes $7.3 million in cuts
The Capital budget includes:
- Dedicating matching funds of $250,000 for the Police Department Firing Range, optimistic that the City will receive a state bond bill grant of $250,000 to fully fund the project.
- A $4 million commitment to rebuild the condemned maintenance facility on Spa Road
- A $2 million commitment to annual roadway paving program and $600 thousand to sidewalk repair.
- Replacement of the old water and sewer pipes by investing $1.9 million in our water distribution system and an addition $2.4 million for our sewer collection system.
To view the State of the City Address, go to http://bit.ly/1gmVwZi